Rhode Island 1040C Election by non-resident member

1040C Election by non-resident member
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RI-1040C-NE

RHODE ISLAND NONRESIDENT INCOME TAX AGREEMENT/
ELECTION TO BE INCLUDED IN A COMPOSITE RETURN
See Instructions Below
PASS-THROUGH ENTITY’S NAME AND ADDRESS

NONRESIDENT INDIVIDUAL’S NAME AND ADDRESS
Name

Name

Address 1

Address 1

Address 2

Address 2

City, town or post office
Social security number

Entity’s year end

State

ZIP code
Spouse’s social security number

City, town or post office

State

ZIP code

Federal employer identification number

Calendar Year: January 1, ______ through December 31, ______

Fiscal Year: Beginning ___________, ______ through ___________, ______

Internal Revenue Service Center Where Nonresident Individual’s Federal Return is Filed
Purpose: Form RI-1040C-NE, Rhode Island Nonresident Income Tax
Agreement/Election to be Included in a Composite Return, is used to substantiate the qualified electing nonresident partner, shareholder, member or beneficiary’s election to be included on Form RI-1040C, Rhode Island Composite
Income Tax Return.
Who May Elect: Any individual who is a qualified electing nonresident member in a pass-through entity doing business in Rhode Island or having income,
gain, loss, or deduction derived from or connected with sources within Rhode
Island is eligible to elect to be included in a composite income tax return
(Form RI-1040C) filed by the pass-through entity. A pass-through entity is eligible to file Form RI-1040C for a taxable year only if all of the qualified electing nonresident members have the same taxable year.
This election may be made by any individual who is a nonresident:
Partner in a partnership doing business in Rhode Island or having income,
gain, loss, or deduction derived from or connected with sources within Rhode
Island; or
Shareholder in an S corporation doing business in Rhode Island or having
income, gain, loss, or deduction derived from or connected with sources within Rhode Island; or
Member of an LLC treated as a partnership for federal income tax purposes
and doing business in Rhode Island or having income, gain, loss, or deduction
derived from or connected with sources within Rhode Island; or
Beneficiary of a trust or estate having income, gain, loss, or deduction derived
from or connected with sources within Rhode Island.
NOTE: The filing of a composite return will be considered as meeting the filing
requirements otherwise separately imposed on each qualified electing nonresident member resulting exclusively from this income. Qualifying electing
nonresident members who are included on Form RI-1040C, are not required
to file Form RI-1040NR. The Division of Taxation retains the right to require
the filing of an individual Rhode Island income tax return by any of the members. However, a qualified electing nonresident member may not elect to be
included in a composite return, after the fifteenth day of the fourth month following the close of the entity’s taxable year.

Terms Applicable to Partners of a Partnership, Shareholders of an S
Corporation, Members of an LLC, and to Beneficiaries of Trusts or
Estates:
For a Partnership, the nonresident partner’s distributive share of partnership
income derived from or connected with sources within Rhode Island.
For an S Corporation, each nonresident shareholder’s pro rata share of
income, gain, loss, and deduction derived from or connected with sources
within Rhode Island.
For an LLC, each nonresident member’s distributive share of income, gain,
loss, and deduction (net of modifications) derived from or connected with
sources within Rhode Island.
For a Trust or an Estate, each nonresident beneficiary’s share of trust or
estate income, gain, loss, and deduction (net of modifications) derived from or
connected with sources within Rhode Island.
When and Where to File: A qualified nonresident member electing to be
included in a composite tax return must submit a completed Form RI-1040CNE to the pass-through entity prior to the filing of Form RI-1040C by the passthrough entity. The due date for Form RI-1040C is the fifteenth day of the
third month following the close of the taxable year of the qualified electing
nonresident members. The pass-through entity must keep Form RI-1040CNE in its permanent records and make them available to the Division of
Taxation upon request. Form RI-1040C-NE filed beginning on or after the first
day of the taxable year, will be effective for that taxable year and for all following taxable years, unless the qualified electing nonresident partner revokes
the agreement by providing written notice of the revocation to the passthrough entity. Any revocation shall be effective the taxable year after the date
written notification is provided to the pass-through entity. The pass-through
entity must keep and maintain such written notices in its permanent records,
and make them available to the Division of Taxation upon request.

DECLARATION: I declare that I meet all of the following conditions for the taxable year: I was a nonresident individual for the entire taxable year; I did not
maintain a permanent place of abode in Rhode Island at any time during the taxable year; neither I nor my spouse (if a joint federal income tax return is or
will be made) had income derived from or connected with Rhode Island sources other than my distributive share of pass-through entity income derived from
or connected with sources within Rhode Island for the taxable year; I waive my right to claim any Rhode Island standard or itemized deduction, any personal
exemption and any percentage of allowable Federal credits for the taxable year; I waive my right to request an extension of time to pay the Rhode Island
income tax; I consent and agree to be subject to personal jurisdiction in Rhode Island for purposes of the collection of Rhode Island income tax, together
with and additions to tax, interest and penalties, for the taxable year; and I authorize the pass-through entity to designate a member who will act as my
agent (and that of the other qualified electing nonresident members) in filing the composite return.
This agreement shall be binding upon my heirs, representatives, assigns, successors, executors and administrators.

Your signature

Date

Spouse’s signature

Date